Electrolux Home Prod v. Whitesell Corp
Filing
1063
ORDER denying 1014 Motion to Compel responses to discovery. Signed by Chief Judge J. Randal Hall on 9/24/2018. (pts)
IN THE UNITED STATES DISTRICT COURT FOR THE
SOUTHERN DISTRICT OF GEORGIA
AUGUSTA DIVISION
WHITESELL CORPORATION,
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*
Plaintiff,
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*
V.
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CV 103-050
•k
ELECTROLUX HOME PRODUCTS,
*
INC., HUSQVARNA, A.B., and
*
HUSQVARNA OUTDOOR PRODUCTS,
INC.,
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Defendants.
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ORDER
Presently
Corporation's
certain
before
the
(^'Whitesell")
discovery
Court
motion
propounded
Products, Inc. ("EHP").
is
to
to
Plaintiff
compel
Defendant
Whitesell
responses
Electrolux
to
Home
The parties have fully briefed the
matter, and the Court resolves it as follows.
Whitesell intends to use the discovery at issue to obtain
damages
information
parties'
Settlement
related
to
Memorandum
a
of
particular
term
in
2003.
the
time
At
the
of
executing the Settlement Memorandum, the parties had agreed to
transition "Brunner and/or wireform parts" to Whitesell.
The
parts were to be fully transitioned to Whitesell by December
31, 2003.
follows:
The Settlement Memorandum provided, however, as
To
the
extent
that
EHP
does
not
transition
the
supply of all Brunner and wireform parts to
Whitesell, EHP agrees to transition additional
mutually agreed upon parts for Whitesell to supply
in an amount which creates gross purchases . . .
equal to the calendar year 2002 purchase value of
the Brunner and wireform parts not transitioned
(hereafter, "substitute parts")[.] . . . Any
shortfall in the annual purchase volume of Brunner
and wireform part(s) that are actually to be
purchased from Whitesell as compared to the prior
2002 annual purchase volume . . . of Brunner and
wireform parts shall be made up of mutually agreed
substitute parts and added to Exhibit "B-1."
(See
Doc.
No.
(hereinafter
provision").)
568,
Ex.
referred
In
other
2,
to
Settlement
as
words,
the
the
Memorandum
"substitute
Settlement
^
3
revenue
Memorandum
provided that EHP could either transition to Whitesell (i) all
Brunner and wireform parts by December 31, 2003; or (ii) other
parts in an amount equal to the 2002 purchase value of the
non-transitioned Brunner and wireform parts.
It is undisputed that EHP did not fully transition all
Brunner and wireform parts by December 31, 2003.
It is also
undisputed that EHP did not provide substitute revenue.
Whitesell
contends
that
it
is
entitled
to
Thus,
discovery
to
determine the value of EHP's 2002 purchases of Brunner and
wireform parts from other suppliers.
To that end, Whitesell
propounded the following interrogatories to EHP:
Interrogatory No. 1: Please state the calendar year 2002
purchase value of all Sommer Metal Craft, SMC, and Matrix
parts (including part number, quantity purchased, price
paid, and surcharges) purchased or used by, for, or at
all Electrolux indoor and outdoor divisions.^
Interrogatory No. 2: Please separately state the calendar
year 2002 purchase value of all wireform parts (including
part number, quantity purchased, price paid, and
surcharges) purchased or used by, for, or at all of
Electrolux indoor and outdoor divisions for each of the
following vendors: Northern Wire, Argo, 3G Industries,
Wiremaid,
Erisco,
Wiretech,
Nashville
Wire
Products,
Mitchell Bissell, Fansteel, and Dubose Strapping Inc.^
In response to Whitesell's motion to compel, EHP contends
that it "has already provided full and accurate responses to
these requests."^
(EHP's Resp. in Opp'n to Pl.'s Mot. to
Compel, Doc. No. 1020, at 4.)
its
responses
emphasizes
with
that
it
certain
is
"not
information" to these requests.
original).)
In
reply,
Moreover, while EHP prefaced
relevancy
objections,
withholding
any
EHP
responsive
(Id. at 5 n.2 (emphasis in
Whitesell
refuses
to
take
this
representation at face value, demanding a verification that
^
This interrogatory was posed in Whitesell's Fifth Set
of Interrogatories.
The concomitant request to produce,
appearing in Whitesell's Eleventh Request for Production of
Documents, asks EHP to provide all supporting documents.
^
This interrogatory was also posed in Whitesell's Fifth
Set of Interrogatories. The concomitant request to produce,
also appearing in Whitesell's Eleventh Request for Production
of Documents, asks EHP to provide all supporting documents.
^
EHP represents that it had no purchase data for 12 of
the 13 vendors listed in these discovery requests.
With
respect to the remaining vendor. Matrix Wire, Inc., EHP
purchased only a single part. Part No. 24035002, in 2002.
Despite the provision of this information, EHP opposes the
award of any damages to Whitesell involving this part.
The
Court leaves this dispute for another day.
EHP is not withholding any additional responsive information.
(Pl.'s Reply, Doc. No. 1022, at 10.)
The Court has reviewed the parties'
responses to these discovery requests.
briefs and EHP's
The Court is satisfied
that EHP has responded in full and is not withholding any
responsive information based upon its prefatory objections.
For this reason, Whitesell's motion to compel responses to
Interrogatory Nos. 1 and 2 in its Fifth Interrogatories to EHP
and to Requests to Produce Nos. 1 and 2 in its Eighth Request
for Production to EHP is denied.
The other discovery request at issue is the following
interrogatory from Whitesell to EHP:
Interrogatory No. 4: Identify each vendor from which you
purchased wireform parts, for indoor or outdoor use, from
2002 through 2010 and, for each year, the total amount
you paid to each vendor for those parts each year."
EHP objected on the basis that ''wireform parts" do not fall
into one of the four enforceable part categories identified
through this Court's Order of October 14, 2008.
The
Court
agrees
with
EHP.
In
determining
which
categories of parts did not suffer from a lack of specificity,
the Court identified "(1) all parts Whitesell was supplying to
EHP
as
of
the
date
of
the
Settlement
Agreement; (2)
all
Springfield Division parts which were being supplied by Bamal
"
This interrogatory was posed in Whitesell's Sixth Set
of Interrogatories.
as of January 1, 2003; and (3) the ^Brunner' parts."
of Oct. 14, 2008, at 22-23.)
(Order
Thus, the Court considered the
Brunner and wireform parts addressed in the substitute revenue
provision of the Settlement Memorandum.
Indeed, the Court
next stated that the "amorphous category of [wireform parts
is] too uncertain for the Court to enforce."
The
term
"wireform"
lacks
"a
stable
(Id. at 23.)
definition
either
specified by the parties, understood by the industry, or able
to be confirmed by factual evidence."
(Id.)
Simply stated,
"wireform parts" is not an enforceable category in and of
itself.
Unless a "wireform part" falls within one of the four
enforceable
categories,
it
is
not
part
of
the
damages
equation.^
The Court notes the parties' disagreement, and proffered
^
Whitesell argues that the substitute revenue provision
does not create an obligation to transition wireform parts to
Whitesell; rather, it obligates EHP to provide substitute
revenue instead.
Whitesell claims that the Court has never
relieved EHP of this obligation.
It is the Court's view,
however, that if EHP is not obligated to transition the vague
category of wireform parts based upon the October 14, 2008
Order, it is not obligated to provide substitute revenue
either. This does not render the substitute revenue provision
unenforceable with respect to Brunner parts.
Moreover,
certain wireform parts, particularly those supplied by Matrix
Wire, Inc., were apparently the subject of transition efforts
between Husqvarna Outdoor Products, Inc. and Whitesell.
In
this way, wireform parts are included in this litigation and
relevant discovery has been provided by Husqvarna. (See EHP's
Resp. in Opp'n to PI.'s Mot. to Compel, at 6 n.5; EHP's Resp.
and Obj. to PI.'s Eleventh RFPs, Resp, No. 1, Doc. No. 101411; Order of June 8, 2011, Doc. No. 429, at 5 n.8; Order of
Mar. 9, 2016, Doc. No. 785, at 3 n.3.)
evidence, over whether ^"wireform" is intended to encompass
indoor
and
outdoor
products
or
whether
a
part
can
be
considered a "wireform" if it contains plastic and/or glass.
This
disagreement
proves
the
Court's
point
in
excluding
wireforms from the enforceable part categories in the first
place.
In conclusion, Whitesell's motion to compel responses to
its interrogatory seeking information relative to the vague
and
unenforceable
category
of
''wireform
parts,"
here
Interrogatory No. 4 in its Sixth Set of Interrogatories to
EHP, is denied.
Upon
the
foregoing,
Whitesell's
motion
responses to discovery (doc. no. 1014) is DENIED.
ORDER ENTERED
at Augusta,
Georgia,
this
to
compel
.
of
September, 2018.
J.
HALIf, CHIEF JUDGE
UNITE/ STATES DISTRICT COURT
lERN
DISTRICT OF GEORGIA
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